LONDON: West African spot trading focused on Angola's January exports, but was limited again due to pending tenders.
Benchmark oil prices gyrated during the day, with OPEC's hopes of a deal to cut output getting a boost from Iraq's prime minister, who said the nation was willing to cut its own production as part of the OPEC plan to reduce global supply and boost prices.
US crude oil stocks fell last week after three straight weeks of builds as imports dropped and refineries hiked output, while gasoline inventories rose sharply amid weak demand.
NIGERIA
Buying was quietly emerging on grades such as Qua Iboe and Bonga, seen as possibly being by trade houses building up cargoes of grades they could offer into pending tenders.
Trading house Vitol had bought several cargoes of Bonga, market sources said.
Offer levels for January-loading cargoes were rising, with Qua offered as high as $1.60 per barrel above dated Brent.
Some said those offer levels would be hard to achieve due to relatively high freight rates.
ANGOLA
Some spot trading had emerged, with Total selling its end-January cargo of Dalia. It previously offered the cargo at dated minus $1 per barrel.
Cabinda had been offered at a 35 cent discount to dated Brent, Nemba at a 50 cent discount and Kissanje at a 10 cent premium.
Strong fuel oil margins were encouraging consumption of Angolan crudes, which have a higher fuel oil yield.
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